iPhone 6 Production Delays May Hurt Availability

NEW YORK -- Apple's iPhone manufacturing partners are struggling to produce displays for the upcoming iPhone 6 after a last-minute design change caused widespread delays. The disruption may impact the number of devices available at launch, say supply chain sources, and could even delay the launch altogether. If this type of FUD didn't show up just before the launch of every iPhone, it might be cause for real concern.

It's late August, many people are on vacation, and real news in the tech space is rather thin. With Apple's iPhone 6 launch expected to take place in mere weeks, it's no surprise that "persons familiar with the matter" and other nefarious insiders come out of the woodwork to fill the news vacuum with rumor and smoke and mirrors. This time around, some big mouths in Apple's supply chain say there's a real problem with the display.

As Reuters explained it, the hiccup took place in June and July. Apple initially decided to use one backlight instead of two backlights in the iPhone 6's display in order to make it thinner. Upon inspection, however, Apple determined that one backlight didn't provide enough illumination. This forced it to go back to the drawing board to redesign the display to accommodate the second backlight. This disrupted production by idling plants while they waited for the new specs.

If Apple loses its operational advantage, it may begin the downward trend to paralysis. What has made that company great is the ability to create these awesome products with superior operational competitive advantages that others struggle to match.